DOCUMENT CHECKING FEE QUESTION Good day, Mr. Old Man. We have an LC opened in our favour that allows partial shipments. Every time we present a drawing the confirming bank will find a discrepancy or two even though our bank (the advising Bank) would have assured us there were no discrepancies. The applicant ( buyer) always accepts the discrepancies (since sometimes the goods … Read More
DEFERRED PAYMENT UNDERTAKING QUESTION I have come accross this statement. “Under UCP600, the DPU remains undefined and still a bit of a mystery as to whether/how its incurrence may/must be evidenced.” Could you please comment further? Best regards, G. —- ANSWER You may have learnt about Banco Santander case in connection with discounting one’s own deferred payment undertaking (DPU). The main details of … Read More
DOES SHIPMENT FROM ANY CHINESE PORT INCLUDE TAIPEI PORT? QUESTION Dear Mr. Old Man, I’ve heard that if L/C stipulates the port of loading as “Any port in China” or “Any Chinese port”, a bill of lading indicating the port of loading as Hong Kong is acceptable. 1) Let me know if what I’ve heard is true. 2) If it is true, what if the bill of lading indicates … Read More
WHICH ARTICLE OF UCP 600 IS APPLICABLE FOR EXAMINATION OF A TRANSPORT DOCUMENT QUESTION Hi Mr Old Man, Please help me with the following case: Field 44E : VietNam 44F : Belgium 44B : France 45A : CFR Belgium 46A : Bill Of Lading, …notify: applicant ( france) Cert of Origin and Health Cert must state final destination ( france ) B/l will state as follows Port of Loading : Vietnam Port of … Read More
QUESTIONS REGARDING LC WITH T/T REIMBURSEMENT ALLOWED QUESTION Dear Mr. Nguyen, Many thanks for taking the time to reply while busy working . I apologize about unclear query on face book. Please allow me to explain more clearly: In fact we are the applicants our bank amended the L/C to allow T.T. Reimbursement without seeking our approval to authorize such amendment. The amendment was carried by issuing … Read More
EXPIRED LC QUESTION Hi Mr. Old Man, We have the following case relating to expired L/C. Our bank sent the issuing bank the documents under the L/C available with the issuing bank by acceptance. As the L/C expired, the issuing bank sent us a message informing that it treated the documents as a collection. Two weeks later, the issuing bank sent us … Read More
BILL OF LADING ENDORSED BY AGENT OF THE SHIPPER QUESTION Dear Mr. Old Man, Please help me with the following question: B/L shows as follows: Shipper: Company 1 A/C Company 2 Consignee: To Order Endorsement made by Company 2 What does A/C mean? Does Company 2 have right to endorse the bill of lading? I’m looking forward to receiving your reply soon. Thank you very much. Best Regards, QN … Read More
CHARTER PARTY BILL OF LADING INDICATES RANGE OF PORTS AS PORT OF DISCHARGE QUESTION Dear Mr. Old Man, LC requires presentation of full set of original clean on board ocean bills of lading… and also allows presentation of charter party bills of lading. Field 44F (Port of Discharge): PHU MY PORT OR CAI MEP PORT OR HO CHI MINH PORT A shipped on charter party presented shows Port of Discharge as PHU MY … Read More
WHERE GOODS COVERED BY MORE THAN ONE BILL OF LADING QUESTION Dear Mr. Old Man, Happy new year Mr. Old Man, Related to Goods covered by more than Bill of lading . Beneficiary presented Bill of lading with one container “1x40rh” with bill of lading no:SGN0535366” and Bill of lading showed”PART LOAD CONTAINER(S) COVERED BY BLS: SGN053042, SGN0535366 As per E28 ISBP745, Such Bill of lading is acceptable Please give … Read More
ADVANCE PAYMENT AND ADVANCE PAYMENT GUARANTEE QUESTION Dear Mr. Old Man, A sale contract for USD150,000 states the payment terms as follows: 30% by T/T in advance 70% by D/P The buyer is afraid that it is risky for him to pay in advance as the seller may not effect shipment while he has received the advance payment. What should the buyer do to avoid the … Read More